New York’s “no-surcharge” law at risk

New York has been among the states that prohibit merchants from imposing a surcharge (i.e., extra fee, checkout fee) in conjunction with credit card payments. This law is now at risk as a result of a lawsuit filed by a small group of merchants.

On October 3, 2013, Judge Jed Rakoff, of the District Court of New York's Southern District, granted the merchant plaintiffs' request to issue a preliminary injunction prohibiting the New York Attorney General from enforcing the no-surcharge law.